Margin Trade refers to a trade mode in which users borrow a certain amount of digital tokens by pledging digital tokens in KuCoin to make a long (buy) / short (sell) operation. Close position: When the BTC price goes up, you can sell the BTC you bought before back to USDT. Funding occurs after every 8 hours. To have a better understanding of Kucoin Futures, lets assume that you anticipate the price of Bitcoin to rise, you execute a long order. I won't feel sorry for anyone getting liquidated by margin trading on KuCoin after these past weeks of "temporary downtime upgrades". Only specific cryptocurrencies can be transferred in, held, and borrowed in a specific Isolated Margin Account. So why use the margin account at all? For more information, please see our In this article, Ecoinomic.io will guide you to trade Margin and Futures on Kucoin. The above article is Kucoin Futures and Kucoin Margin Trading Guide. Kucoin margin trading fees are 0.02% for the maker and 0.03% for the taker, with a minimum fee of $1. Choose between Cross Margin and Isolated Margin. Margin vs. Futures trading : r/kucoin by Unconsciously_Sober Margin vs. Futures trading Whats the benefits of using margin instead of futures? For more information, please see our Reddit and its partners use cookies and similar technologies to provide you with a better experience. If you want to repay the debt or make Margin trades, please deposit tokens to your Margin account directly or transfer and keep the assets you want to repay/trade in your Margin account. We highly recommend newbies to control the leverage within 5x. because some peeps got liquidated on the futures and scared to repeat it again. The company says lenders will always be repaid in full, either from the borrower's collateral or. Once you have enabled margin trading, there are 4 steps you must know to complete a margin trade: 1. If you think that the specific token will go down, at step 2, you can borrow that token then sell it short at a higher price, then buy it back at a low price to make a profit. Crypto Lending and Borrowing. At Price section, select the price you want to sell. KuCoin Futures adopts a sophisticated risk engine and liquidation model, you can find more details about the calculation of liquidation price in this tutorial. 2.Realised PNL is also the PNL of partially closed positions or reduced positions, including the position PNL, trading fees as well as funding fees associated with the trading. When placing a 10x position what would be cheaper to keep for a long hold due to fees. Futures Trading. Privacy Policy. I'll be discussing leverage, borrowed margin, liquidation points, stop losses, take profits, and much more. Press J to jump to the feed. Web App. Compare Margin and Future. This deep dive will give you the basic understanding of both Futures Trading, and Cross Margin Trading, and allow you to choose which is best for your goals.Thanks for watching,-Mark The DGT You can make a great profit or you quickly lose all your assets. Repay loans 1.Transfer principal to your margin account Note: Any currency supported on Margin trade can be transferred. This money finances KuCoin's margin trading. If a trader fails to fulfill the maintenance requirement, his/her position will be taken over by the liquidation engine and gets liquidated, and the maintenance margin will be lost. Initially, KuCoin launched what was known as KuMEX. Learn Margin Trading on Kucoin in under 30 minutes! Stop loss: when the market price rises to the preset price, the system will close the open position Select the desired leverage level on the crossbar. I finally found one that does futures that is an A-book exchange instead of B-book like 99% of crypto platforms. USDT Isolated Margin Account, only BTC and USDT are accessible. For more details, please check, Tap into Futures---> Deduction Coupon in, Frequently Asked Questions About KuCoin Futures (Part 1), Frequently Asked Questions About KuCoin Futures (Part 2), Frequently Asked Questions About KuCoin Futures (Part 3), Frequently Asked Questions About KuCoin Futures (Part 4). Funding can be calculated through the funding rate. When user B bears losses, the unrealizedPnLw. >>> Related: What is Futures? Margin in cross margin mode is shared among the users Margin Account, Each user can only open one cross margin account, and all trading pairs are available in this account. Isolated Margin Kucoin is a mechanism that limits the amount of coins traded each transaction. Emirex vs KuCoin Futures (2023) - List of Differences | Cryptowisser In the Price section, select the price you want to buy. Step 2: To start Margin trading, you must transfer funds to Margin wallet. Margin: The margin is used in opening a position or maintaining your current position, which is formed byInitial Margin andMaintenance Margin. A Futures in KuCoin Futures is an agreement to buy or sell a particular crypto asset at a predetermined price and a specified time in the future. The information is updated on a monthly basis. he decrease of PNL, the margin pool will also reduce, which means the denominator of the formula becomes smaller, and thus the leverage increases. This mode is useful for users who are hedging existing positions. KuCoin says you can earn 8% to 12% on average. Enable futures trading now to claim up to 20 USDT ofbonus for newbies only! and our Maintenance Margin is the minimum amount of funds you must hold to keep a position open. Your personal information will be kept confidential. Then the BTC price meets a resistance zone and turns bearish that results in losing your funds. : This article is based on buying long in a margin trade. Press question mark to learn the rest of the keyboard shortcuts. For example, you invest $300 and the Margin balance in your Futures/Margin wallet account has $3,000. In addition, KuCoin supports 35 trade pairs with up to 10X leverage. Could someone please explain to me the differences between margin and futures trading on kucoin. The funding will be settled at 20:00, 04:00, and 12:00 each day (UTC). For example: Futures/Margin wallet balance is $1000, you open a Short TRX position with the amount of $200. KuCoin Futures has currently launched delivery contracts that include the nearby quarterly delivery contracts and forward quarterly contracts, BTC Quarterly 0925 and BTC Quarterly 1225 . Well there you have it. This article will help beginners of Futures trading to know about the related introductory knowledge and to start the trading journey smoothly. SatsIncome.om 11.4K subscribers 72K views 1 year ago FREE Webclass FREE Webclass The SIMPLE Method I Used to turn $4,944 into. Margin trade (Buy long/Sell short) 4. The information is updated on a monthly basis. Security Aside from that, KuCoin cares greatly about the security of its users. When the borrower's debt is about to expire, the system will automatically borrow the same amount of the corresponding debt assets (which equals the remaining mature debts principal and interest) to continue the debt if there are insufficient corresponding assets in the borrower's account. The assets in the Main account are mainly used for the storage, withdrawal, and deposit of funds and KCS pay fees. To short on Kucoin margin, you will need to: 1) Find the instrument you want to short on the Kucoin platform. What are the meanings of these commonly used words at KuCoin Futures? Futures Account Part 5. You can only repay what you borrowed instead of using other tokens to repay. Reward amounts will be determined based on the type and relevance of the information provided. Transfer principal to your margin account. A complete Kucoin Futures Trading Tutorial by James of MoneyZG. Kucoin Margin Vs Futures There are a few key differences between Kucoin margin trading and futures trading. When the market price decreases and reach this price, the system will automatically take profit for you. Users can transfer their assets via the transfer option on the Assets Overview page. B. With the decrease of PNL, the margin pool will also reduce, which means the denominator of the formula becomes smaller, and thus the leverage increases. When the position is at risk, it will automatically deduct from $3,000, which will be liquidated when the funds in the account run out. This feature has been officially launched already, and you can visit the Trading Bot on the KuCoin App to find it. If there is no funds left to deposit, the system will help you liquidate the position and you will burn your account. Realised PNL: This is based on the difference between the entry price and close price of a position. KuCoin also provides futures trading where users can buy and sell crypto futures standardized contracts. The system will check the margin level of the Cross Margin Account and notify users about supplying additional margin or closing positions. A. It's insane how terrible they are. CopyRight 2017 - 2023 KuCoin.com. Open a sell position by placing an Limit order. Margin in Isolated Margin mode is independent for each trading pair, Each trading pair has an independent Isolated Margin Account. It's basically margin but with less friction (steps to take before being able to trade). Step 1: After successfully logging into your Kucoin account. Create an account to follow your favorite communities and start taking part in conversations. Take profit: select the price you want to take profit when the rising market price reaches this price, the system will automatically take profit for you. Yah it takes practice to get good at it and unfortunately practice cost money. KuCoin Futures Trading Fees. Repay all the borrowed USDT as well as the interest. Margin Trading. KuCoin Futures has an adjustable interest rate because the funding cost can be higher or lower. As shown below: Enable Futures tradingnow to claim the bonus! Read More Financial reserves Updated at 9:02:37 AM Total: $3,310,418,752.26 Futures. To close an open order on Kucoin Futures, select Position, At the Close Position section, click Limit/Market to close the order at the limit price or market price. Cookie Notice Do not use 100% of your account for margin or leverage trading, you need a cushion to keep that position open when it goes against you, if that's your plan. KuCoin Futures(KuCoin Mercantile Exchange) is an advanced cryptocurrency Trading Platform that offers various leveraged Futures that are bought and sold in Bitcoin and other cryptocurrencies. In simple terms, KuCoin Futures trading is a process of opening a position - getting profit/loss from the position - closing a position. Trade: Let's buy long using BTC with the BTC/USDT trading pair as an example, using the borrowed USDT to buy BTC. Once liquidation happens, all positions will be liquidated. Select the coin/token you want to trade at Coin section. Take profit: select the price you want to take profit. It's one of the few platforms where U.S. users can access a margin account for trading crypto, and it. KuCoin is a cryptocurrency exchange with large trading volume and high liquidity. As mentioned, KuCoin has some of the lowest trading fees, even among top exchanges. Learn how to Short Trade Bitcoin and any other cryptocurrency on Kucoin Exchange. Please click here to start margin trading and click here to enter the Margin help center to learn more. Isolated Margin Vs Futures Kucoin. The higher the actual leverage is, the higher risk of liquidation would be and vice versa. Select the amount you want to trade at Amount section. KYC users in restricted countries and regions cannot open Futures trading; Users with IP addresses in restricted countries and regions cannot open Futures trading; Users in our blacklist cannot open Futures trading. Margin Trading: It refers to a trade mode in which users borrow a certain amount of digital tokens by pledging digital tokens in KuCoin to make a long (buy) / short . 3) Enter your desired leverage. Kucoin Cross Margin is a mechanism that allows using all funds in futures/margin accounts for the purpose of keeping your assets from being liquidated. Assets in cross margin account are shared by all positions; Margin level is calculated according to total asset value and debt in the Cross Margin Account. If you deal with a risk, you only lose $200 and will not be deducted from the remaining $800 in your account. If you want to withdraw or make P2P trades, please keep your assets in your Main account. Differences Between Isolated Margin and Cross Margin, Margin Trade: Spot Index Calculation Rules. When user A earns profit, the unrealized PNL, ecome greater as well, which means the denominator of the formula becomes large, B. Borrow funds from the Funding Market 3. If the leverage is high, please pay attention to the position risk. Completing a set of margin trade . If you want to make Spot trades, kindly transfer your assets to your Trading account. Only specific cryptocurrencies can be transferred in, held, and borrowed in a specific Isolated Margin Account. Risk Warning: Please pay attention to the risk control of Futures trading. Therefore KuCoin Futures will NOT charge any fees. Step 5: To cancel the order just placed, choose Open Order and click Cancel. Futures deduction coupon has been distributed to your account! Crypto lending and borrowing is an intuitive way of earning passive income in the crypto market . Email Changes in prices will be often affected by supply and demand. You may deposit or transfer assets to your Futures account to start, You may deposit or transfer assets to your, account to stake assets or participate in soft staking. KuCoin charges rock-bottom fees and supports trading in a huge range of cryptocurrencies. (, If you want to lend your assets out, please keep the relative assets in your Main account) . How to use the worlds most popular NFT Marketplace, Paxos takes back $20 million PAXG from FTX hack. Financial Account Part 1. When it comes to investing in futures, there are two main types of margin: isolated and futures. Let's go and see the functions of each account. Step 1: After successfully logging into your Kucoin account. Reward amounts will be determined based on the type and relevance of the information provided. Futures trading is a 100x magnifier of your profits! Facebook icon The position PNL is calculated based on the price gap between the entry price and the close price. The funding rate represents the difference between the price of the perpetual contract market and that of the Spot market. Reward amounts will be determined based on the type and relevance of the information provided. The below KuCoin Futures vs KuCoin table shows how KuCoin Futures and KuCoin differ with respect to trading fees, withdrawal fees, deposit methods, supported cryptos, trading types, user scores and more. We have gathered some of the best merchants that accept crypto in one place. Enable futures trading now to claim up to 20, utures trading and profits generated from it can be transferred or withdrawn! 2. It is a reference PNL of a position. RSI Guy Banky 830 subscribers Subscribe 141 Share 17K views 1 year ago In this video, I explained briefly how to trade. Users are able to access to greater capital so they will be in a greater position. Tap into Futures---> Deduction Coupon in KuCoin app (orclickhere). For more details, please checkKuCoin Futures Trial Fund. All marketplaces for NFTs in one, easy to compare, list. Margin level is calculated solely in each Isolated Margin Account based on the asset and debt in the isolated. You can go as low as 1x leverage on futures to though. In addition to the basic trading options, the platform also, If you dont have a Kucoin trading account yet, read the. Select the Margin account you want to use at Margin Account section. 4) Place your order. Cookie Notice The safest way to trade is futures, it seems to be the only trade on KuCoin that you can use a Stop Loss and Take Profit. How Margin Trading differs from Futures Trading. Watch on 1. If the leverage is high, please pay attention to the position risk. Liquidation: To keep the positions open, traders are required to hold a percentage of the value of their position, i.e., the Maintenance Margin percentage. These pairs can include top cryptocurrencies, and unlike futures, margin trading occurs directly on the spot exchange. All Rights Reserved. Futures contracts are standardized agreements to buy or sell an asset at a later date at a specified price, while margin trading allows traders to borrow money from a broker to buy or sell an asset. By rejecting non-essential cookies, Reddit may still use certain cookies to ensure the proper functionality of our platform. When user A earns profit, the unrealized PNLwill be positive. Scan the QR code to login KuCoin, From now on, you can market ticker in real time. In Amount section, select the amount you want to buy. Before starting margin trading on KuCoin, it is necessary to open the margin trading service and transfer crypto assets to the margin trading account to trade. Select the trade amount at Amount section. Kucoin Margin, known as margin trading on Kucoin exchange, is a form of using financial leverage through borrowing more funds from the exchange to increase the investment capital. In isolated margin mode, the leverage is up to 10x and depends on the trading pair. When the funding rate is positive, holders of long positions pay for those of short positions. When the market price matches with the selected price, the system will automatically execute the sell order. #kucoin #futures #leveragetrading #daytrading https://twitter.com/MarkTheDGTWhat's up fellow GRINDERS? KuCoin Futures will airdrop bonus to all users! Theactual leverage of the position can be regarded as abarometer of the position risk. Your personal information will be kept confidential. YouTube Step 3: Select Trade Futures Trading. While KuCoin Futures does have two kinds, Delivery and Perpetual. Despite their huge profit, they are also extremely risky, especially for inexperienced traders. KuCoin offers users exclusive fee rates for Futures trading and 0% or low interests on Margin loans through its VIP Privilege. Futures trading has a lot better UI, PNL is included. The max leverage for Margin is 10x and futures is 100x for Bitcoin and Eth, 20x for all other coins I believe. In order to provide a more professional and better environment for our valued users, KuCoin offers five types of accounts. Here is a comparison chart below for reference: Open a position: Borrow funds and plance an order to trade, Close a position: Sell/Buy to close and repay USDT & interest. Trading Account Part 3. Please note,Margin poolincludesMarginandUnrealized PNL. Part 1. Before starting, you may learn more about KuCoin Margin trading by the video below . Welcome to KuCoin Futures! A-Book means the platform doesn't provide liquidity, so they make the same amount whether you win or lose trades. Diversify your portfolio, you will have more investment options. Kucoin provides beginners with Futures lite and advanced traders with futures Pro . 1. However, if you suffer losses and reach the maintenance margin level in the process of trading, the system will automatically send you a message that requires to add more funds to your account to maintain your position. We highly recommend newbies to control the leverage within 5x. ADL (Auto-Deleveraging): When a position is taken over by the liquidation engine,the insurance fundwill be used to cover the extra cost of this liquidation process, i.e., if the position is closed at a worse price than the bankruptcy price. 10x to 90x faster lol. (Web Version), How to trade Futures at KuCoin Futures? and our You may click, argin account directly or transfer and keep the assets you want to repay/trade in your Margin account. At Price section, select the price you want to buy. Lets go and see the functions of each account. KuCoin is well-known in the cryptocurrency industry for its low withdrawal fees. Mark price:This system sets the Mark Price of the Futures to the Fair Price. Reddit and its partners use cookies and similar technologies to provide you with a better experience. (Tips: If you want to lend your assets out, please keep the relative assets in your Main account) . At Amount section, select the amount you want to sell. Find the next crypto gem on www.kucoin.com, People's Exchange. Coin-Margined Contract Calculation formula: Funding = Position value * Funding rate Position Value = (Lots / Mark Price) x Multiplier The funding will be settled at 20:00, 04:00, and 12:00 each day (UTC). Instead of fiat currencies or other cryptocurrencies, KuCoin Futures handles Bitcoin/ETH only, and all the profit and loss are in Bitcoin/ETH/USDT. Also, you may click deposit or withdrawal to learn more. (APP Version). With the growthof PNL, the margin poolwill become greater as well, which means the denominator of the formula becomes larger,and thus the leverage decreases. The assets in the Trading account are mainly used for Spot trading and KCS Pay fees. These pairs can include top cryptocurrencies, and unlike futures, margin trading occurs directly on the spot exchange. However, in some cases it is also influenced by external factors (crowd psychology, economic policy, macro situation). >>> Related: A complete guide to sign up for Binance account for newbies (20% Lifetime Trading Fees discount), What is BingX? Guide to sign up for BingX, Binance sign up and trading guideline for beginners, What is FTX? CopyRight 2017 - 2023 KuCoin.com. Step 4: To open a Long position at the limit price on Kucoin Futures, select Limitorder. Reward amounts will be determined based on the type and relevance of the information provided. Different from the spot market, you trade financial Futures with others at KuCoin Futures instead. now to claim the bonus! Moreover, a Special VIP for "Whales" is available if your total assets exceed one million USDT, you will be eligible for the LV5 fee rate (maker 0%) and other benefits. Main & Trading & Margin & Futures & Financial Account In order to provide a more professional and better environment for our valued users, KuCoin offers five types of accounts. The Futures has no expiration date and is designed to closely track the underlying reference Price Index via the Funding Rate mechanism. It also features an excellent interface for trading and multiple ways to earn money by futures, margin, and peer-to-peer trading. The system will execute the auto-renew procedure. Investing in a futures contract might cause a company that hedged to miss out on favorable price movements. Realised PNLis not affected. Rewards will be provided to users who inform us of the above. YouTube icon. The deduction coupon can be used to deductFutures trading fees of random amount. All Rights Reserved. Futures trading has a lot better UI, PNL is included. What is Futures? The KuCoin margin trading platform supports cross margin and isolated margin modes. KuCoin, a Singapore-based cryptocurrency exchange, has one of the largest cryptocurrency and trading pairs selection. New users should think twice before entering this risky financial trading form. At Amount section, select the amount you want want to buy. HOW TO USE ISOLATED AND CROSS MARGIN ON KUCOIN. By default, the unrealised PNL will change with the mark price on KuCoin Futures. When the positionsof. M (Mobile) StationHave Fun with KuCoin by visiting the Mobile Site! Note: A margin trade works exactly the same as a spot trade and they share the same market depth. Your experience on this site will be improved by allowing cookies. Goclaim itnow! Futures trading is a 100x magnifier of your profits! Futures. Itonly affects the liquidation price and unrealised PNL. Floating leverage = Position value / Margin pool, A. If you think that the specific token will go down, at step 2, you can borrow that token then sell it short at a higher price, then buy it back at a low price to make a profit. Both platforms have more than 150 different altcoins available for trade; however, Binance has a couple dozen more altcoins on its platform than what is found on KuCoin. Margin trading on Kucoin allows users to trade with leverage of up to 5x. Click on the wallet icon select Main Account. To open a Short position on Kucoin Futures, select Limit order. Step 2: Transfer funds to your Futures wallet to start trading futures contracts. Kucoin Futures and Kucoin Margin Trading Guide, A complete guide to sign up for Binance account for newbies (20% Lifetime Trading Fees discount). Just set your leverage and begin trading, really convenient. It has the same minimum leverage (low risk options)? By rejecting non-essential cookies, Reddit may still use certain cookies to ensure the proper functionality of our platform. Only after the position is closed will the position's profit/loss be settled and reflected in the balance. To be specific, when the floatingPNL(namely, the unrealized PNL) is positive, the system will lower the actual leverage. When the funding rate is positive, holders of long positions pay for those of short positions. Future or Margin? Try now to leverage more profits with less funds! This mechanism makes it easier for you to control risk and lower risk than Cross Margin. See how Emirex and KuCoin Futures differ with respect to fees, deposit methods, supported cryptos, trading types, user scores and more. Investors can choose the Cross Margin or Isolated Margin mechanism when opening a position, Smooth trading system, fast order execution, You will deal with a high risk of burning your account if you use large leverage, using leverage is very dangerous when the market is highly volatile, Prone to price manipulation: The price of a. Future vs Margin - Fee comparison . For more details, please checkKuCoin Futures Deduction Coupon. However, when the floating PNL (namely, the unrealized PNL) is negative, the system will raise the actual leverage. You make a profit by placing orders and predicting the rise or fall of the price of a contract representing a cryptocurrency over a certain period of time. Twitter icon KuCoin Academy Lesson 15|How to Reduce the Risk of Margin Trading and Futures Trading | by KuCoin Academy | kucoinexchange | Medium Write Sign up Sign In 500 Apologies, but something went. Click on the wallet icon, select Main Account. CopyRight 2017 - 2023 KuCoin.com. For newbies: Debt Ratio is the Key to Affect Your Profit or Loss, 1. With futures you're able to lose your money about 10x faster than you do with margin. This is called Call Margin. Reward amounts will be determined based on the type and relevance of the information provided. You can follow the steps in the guidance article below to start your Futures trading: How to trade Futures at KuCoin Futures? No borrowing funds and repaying. The higher the actual leverage is, the higher risk of liquidation would be and vice versa. Trading Fees and Funding Fees are also included in the realised PNL. In this video I will show you step by step process to enter short positions. KuCoin Withdrawal Fees. If your margin account does not have enough USDT to repay, you may sell other tokens to USDT, and then click the Repay button to repay. Main Account Part 2. You may click here to start Spot trading. When placing a 10x position what would be cheaper to keep for a long hold due to fees. For instance, in the BTC. Kucoin Margin is more and more popular because of the following advantages: All forms of borrowing funds with financial leverage carry potential risks, so does Kucoin Margin. At the Price section, select the price you want to sell. The maximum leverage available on KuCoin futures is 100x, but users need to pass KYC first. Transfer principal to your margin account 2. in the name of 'your safety' doing this seems very unsafe for the user. Select a coin contract you want to trade. Funding is charged peer to peer between traders. The best places to hold your crypto; securely, anymously, easily. When user B bears losses, the unrealizedPnLwill benegative. KuCoin provides margin trading with leverage positions with over 15 cryptocurrencies like KCS, ETH, and BTC are available. For instance, when withdrawing BTC from KuCoin, users only have to pay 0.0004 BTC. Try now to leverage more profits with less funds! Calculation formula: Funding = Position value * Funding rate, Position Value = Lots x Mark Price x Multiplier, Position Value = (Lots / Mark Price) x Multiplier. However, if the insurance fund is not enough, the ADL system will automatically start and deleverage the counterparty positions of the liquidated position at the bankruptcy price of that position, by profit and leverage level priority. It is recommended that newbies control the leverage within 5x and set the Take Profit and Stop Loss on your position. 2) Select "margin" from the trade type options.